The International Monetary Fund (IMF) has told the three remaining candidates to replace Boris Johnson as Tory leader and ultimately as Prime Minister in September that they should walk back promises of tax cuts as they should be focussing on spending more money on the green agenda.
Globalists at the +IMF have intervened in the UK political system to ensure that the Build Back Better green agenda continues no matter who comes into power after Boris Johnson leaves office. Britain’s mission chief for the globalist institution, Mark Flanagan, said that financing tax cuts with more debt “would be a mistake”.
“I think debt-financed tax cuts at this point would be a mistake,” Flanagan told the BBC in comments reported by The Times. “The UK does have a below-average tax ratio relative to the rest of the Organisation for Economic Co-operation and Development.
“At some point you have to decide, do we want to invest in the climate transition? Do we want to invest in digitalisation? Do we want to invest in skills for the public? Well, if you do, you need the resources to do it. And the way to realise those resources is to lift the tax ratio a little bit.”
While World Economic Forum acolyte and former Chancellor of the Exchequer Rishi Sunak has already committed to holding off on tax cuts until inflation is reduced, both Bill Gates-backed Penny Mordaunt and former Lib-Dem Liz Truss have said they would cut taxes if installed in Downing Street.
However, in a boon to the globalist agenda, all three candidates — all of whom represent the establishment to varying degrees — have said they would continue with Johnson’s pledge to transition the UK economy to ‘net zero’ carbon emissions.
Sunak’s high tax position may be a difficult one to sell to the Conservative party membership, whom will select the next leader after the candidates are whittled down to two by Tory MPs, given that it was his leadership at the Treasury which oversaw the largest increase in government borrowing during peacetime, racking up an additional £330 billion across 2020-21 and 2021-22 in government borrowing to finance lockdown schemes.
Under the leadership of Sunak and Johnson, the nominally Conservative party ushered in the highest tax burden in seven decades, with many posting to Johnson’s failure to cut taxes as a central reason for his downfall as leader.
In opposition to the demands from the IMF, the Centre for Economics and Business Research (CEBR) think tank has argued that due to increased government revenue as a result of inflation, the next government will have approximately £60 billion available in tax cuts. The CEBR said that inflation will result in £133 billion per year by 2024-25, half of which will be consumed by planned increases in spending and servicing the debt, but the other half would remain free for potential tax cuts.
“People are paying higher taxes and the question is, will the government give them their money back or will they blow it on something else?” Douglas McWilliams, the CEBR’s deputy chairman, said.